Bill

Bill > S2161


NJ S2161

NJ S2161
Increases amounts of certain payments in lieu of taxes paid for lands owned by State or nonprofit organization for recreation and conservation purposes.


summary

Introduced
01/13/2026
In Committee
02/12/2026
Crossed Over
Passed
Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

This bill would increase the amounts of certain payments in lieu of taxes (PILOTs) paid for lands owned by the State or a nonprofit organization and preserved for recreation and conservation purposes (open space lands). Current law requires that the State pay a certain amount annually to municipalities, in proportion to the acreage of open space lands in the municipality. Section 29 of P.L.1999, c.152 (C.13:8C-29) applies to lands that are acquired using constitutionally dedicated corporation business tax (CBT) revenues, and requires that, beginning 13 years after the land was acquired, the State pay: (1) $2 per acre to municipalities that are comprised of less than 20 percent open space lands; (2) $5 per acre to municipalities that are comprised of between 20 percent and 40 percent open space lands; (3) $10 per acre to municipalities that are comprised of between 40 percent and 60 percent open space lands; and (4) $20 per acre to municipalities that are comprised of 60 percent open space lands or greater. Section 30 of P.L.1999, c.152 (C.13:8C-30) applies to open space lands that were not acquired using dedicated CBT funding. It establishes the same formula for PILOTs, but applies the formula regardless of when the land was acquired. This bill would increase the per-acre amounts in the formulas in both sections of law to the following: (1) $3 per acre to municipalities that are comprised of less than 20 percent open space lands; (2) $7.50 per acre to municipalities that are comprised of between 20 percent and 40 percent open space lands; (3) $15 per acre to municipalities that are comprised of between 40 percent and 60 percent open space lands; and (4) $40 per acre to municipalities that are comprised of 60 percent open space lands or greater.

AI Summary

This bill increases the per-acre payments, known as payments in lieu of taxes (PILOTs), that the State makes to municipalities for lands owned by the State or a nonprofit organization that are preserved for recreation and conservation purposes, often referred to as open space lands. These payments are intended to compensate municipalities for the loss of property tax revenue. The bill revises the existing formulas that determine these payments, which are based on the percentage of open space land within a municipality. Specifically, for lands acquired using constitutionally dedicated corporation business tax (CBT) revenues, and for lands acquired using other funding sources, the per-acre payment amounts are being raised across all categories of open space land percentages. For example, the lowest payment rate for municipalities with less than 20% open space will increase from $2 to $3 per acre, while the highest rate for municipalities with 60% or more open space will increase from $20 to $40 per acre. These changes aim to provide greater financial support to municipalities that preserve significant amounts of open space.

Committee Categories

Agriculture and Natural Resources, Budget and Finance

Sponsors (3)

Last Action

Referred to Senate Budget and Appropriations Committee (on 02/12/2026)

bill text


bill summary

Loading...

bill summary

Loading...

bill summary

Document Type Source Location
State Bill Page https://www.njleg.state.nj.us/bill-search/2026/S2161
Analysis - Statement SEN 2/12/26 https://pub.njleg.gov/Bills/2026/S2500/2161_S1.PDF
Analysis - Technical Review Of Prefiled Bill https://pub.njleg.gov/Bills/2026/S2500/2161_T1.PDF
BillText https://pub.njleg.gov/Bills/2026/S2500/2161_I1.HTM
Loading...